Police have arrested four people in connection with alleged fraud at Hounslow Homes, which manages council homes across the borough.

Officers from Hounslow Police arrested three men and a woman last Thursday (August 14), all four of whom were taken to a west London police station.

The men, aged 44, 49 and 52, and the woman, aged 41, were later bailed to return for questioning in mid-October.

In January, Hounslow Council said it had passed to police the findings of an inquiry it had commissioned into allegations against staff at its housing arm. It said two Hounslow Homes employees were sacked and one resigned as a result of the investigation.

Sources have claimed the alleged fraud involved hundreds of thousands of pounds of taxpayers' money being misspent, with senior staff implicated.

A spokeswoman for Hounslow Council said: "We are cooperating fully with the police investigation. Earlier this year we passed to them the findings of an independent investigation, commissioned by the council, into reported fraud at Hounslow Homes.

Hounslow Council leader Steve Curran said: "Clearly, with this now being a police matter, we cannot give any detailed comment.

"But what I can say is that the council, and the new board and management team of Hounslow Homes, will not tolerate any kind of fraud.

"If it is reported to us we take those reports extremely seriously and they are immediately investigated and acted on.

"That's what happened in this instance, and I welcome the support we have received from the board of Hounslow Homes."